Free Business Plan How To: Write Your Business Plan With This Step By Step How To
May 10, 2017
Are you hoping to become an entrepreneur and need a free business plan to determine its viability? Read through this section-by-section list of a business plan to get a better idea of the work ahead of you, or to jump right in and get started. Although each section of your free business plan is listed in the most commonly accepted order that a banker or lender is looking for, please note that most entrepreneurs start with the market and competitive analysis first, then move to the industry and management plans, then the financial plan and finally the executive summary.
Free Business Plan Section #1: Executive Summary
The executive summary section of a business plan gives an overview of the business to lenders and creditors, and ties up the entire business plan into a couple paragraphs at most.
Free Business Plan Section #2: Company History (or Background)
Detailing the history of the business, which can vary depending on whether or not you are starting a franchise, bought a business, are taking over the family business, or are starting from scratch. Even brand new businesses have a history of how they came to be.
Free Business Plan Section #3: Industry
The industry section of a business plan consists of descring trends within the industry that the business works within, as well as any major players and their gross estimated sales. This section ends with a summary of where the proposed business falls within the industry.
Free Business Plan Section #4: Market Analysis
A market analysis is not the same thing as a marketing plan (which comes later). Market analysis consists of reviewing the market your business plans on working within, both geographically and demographically, and how the business will serve the needs of your potential clients and customers.
Free Business Plan Section #5: Competitive Analysis
Who is your main competition? Indirect competitor? How do your business plan to compete with these entities, and what do you plan on doing differently? These questions and other entry barriers are all discussed in the competitive analysis section of a free business plan.
Free Business Plan Section #6: Marketing Plan
A marketing plan can be a stand-alone document for existing businesses, but it also serves a very important purpose in a business plan, which is to explain your company’s plans for pricing, advertising, promotion, and sales strategies.
Free Business Plan Section #6: Management Plan
Who will run the day-to-day business operations of your entrepreneurial venture? How will you find a team, what qualifications will they need, and who will report to whom? These and other management-related factors all belong in the management plan section of your business plan.
Free Business Plan Section #7: Operating Plan
The operating plan speaks about the physical objects your business will embody, use and be housed wihin, such as inventory, equipment, location, suppliers and a detailed explanation of how your product or service is created from start to finish.
Free Business Plan Section #8: Financial Plan
The financial plan consists of three financial statements: the balance sheet, income statement and cash flow.